Nanshan Aluminium International Holdings Limited (2610) AI Stock Analysis

• Market Cap: HK$40.24B
• Dividend Yield: 1.46%
• Average Volume (3M): 1.06M
• Price to Earnings (P/E): 4.4
• Beta (1Y): 0.15
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: HK
• Employees: 3,282
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Aluminum
• EPS (TTM): N/A
• Shares Outstanding: 620,435,200
• 10 Day Avg. Volume: 1,204,770
• 30 Day Avg. Volume: 1,063,610
• PEG Ratio: 0.02
• Price to Book (P/B): 1.51
• Price to Sales (P/S): 1.87
• P/FCF Ratio: 88.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$77.97
• Price Target Upside: 57.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: HK$73.00 ▲(47.00% Upside)
• Action: Reiterated Date: 01/31/26
• Date: Action: Reiterated 01/31/26

The score is driven primarily by strong financial strength and profitability (near-zero leverage and sharply improved margins), partially offset by weak cash-flow quality and inconsistent free cash flow. Technicals are supportive with a strong uptrend and positive momentum, while valuation is harder to assess due to the missing P/E and only a modest dividend yield.

Positive Factors

High Return on Equity

A sharp rise in ROE to ~32% indicates the company is converting equity into profits very effectively, reflecting strong margins and operational leverage. Persistently high ROE supports sustainable shareholder returns and signals competitive advantage if margins are maintained.

Near-Zero Financial Leverage

Minimal debt materially reduces financial risk and provides flexibility for capital allocation. A near-zero leverage profile supports resilience through aluminum-cycle volatility, enables opportunistic M&A or capex, and lowers default and refinancing risk over the medium term.

Strong Revenue and Margin Expansion

Sharp top-line growth and large margin expansion suggest meaningful operating leverage and improved competitiveness. If driven by structural improvements (cost, product mix, pricing), these trends can elevate long-term profitability and allow reinvestment into growth or returns to shareholders.

Negative Factors

Weak Cash Conversion

Low cash conversion undermines earnings quality:Profitability on paper may not translate to cash for capex, debt servicing, or dividends. Persistent shortfalls constrain reinvestment and raise reliance on working-capital management, increasing long-term operational and financing risk.

Volatile Free Cash Flow

Steep decline in free cash flow and large year-to-year swings signal instability in cash generation. Such volatility complicates planning, can force opportunistic asset sales or external financing, and reduces predictability of dividends and capital investments over the medium term.

Unusually Large 2024 Margin Jump

An outsized, atypical margin surge raises sustainability concerns: if driven by temporary favorable conditions, margins may revert, inflating reported profitability. This increases forecasting risk and suggests earnings could be more cyclical than the balance sheet or recent results imply.

Nanshan Aluminium International Holdings Limited Business Overview & Revenue Model

Company Description

Nanshan Aluminium International Holdings Limited, an investment holding company, engages in the production and sale of alumina in Southeast Asia. The company offers alumina, including aluminium hydroxide. It also engages in management consultation services. The company serves aluminium producers and commodity traders for manufacturing electrolytic aluminium. The company was founded in 2017 and is based in Bintan, Hong Kong. Nanshan Aluminium International Holdings Limited is a subsidiary of Nanshan Aluminium Investment Holding Limited.

How the Company Makes Money

Nanshan Aluminium International Holdings Limited Financial Statement Overview

Summary

Strong profitability and growth with an exceptionally conservative, near debt-free balance sheet (high Income Statement and Balance Sheet scores). The main offset is weak and volatile cash conversion, with operating cash flow covering only a fraction of net income and sharply lower free cash flow (low Cash Flow score).

Income Statement

The income statement shows a strong growth and profitability inflection. Revenue expanded sharply in 2024 (up ~16% after strong gains in 2022–2023), while profitability improved dramatically: gross margin rose to ~51% (from ~29% in 2023) and net margin reached ~39% (from ~18% in 2023). Earnings scaled meaningfully (net income up to ~402M vs ~123M in 2023), indicating strong operating leverage. Key watchout: the magnitude of margin expansion in 2024 is unusually large versus history, which can signal elevated volatility or one-off favorability that may be difficult to sustain.

Balance Sheet

The balance sheet is exceptionally conservative with near-zero leverage. Total debt is minimal (~214K in 2024 and zero in prior years), resulting in an extremely low debt-to-equity level, which materially reduces financial risk. Equity and total assets have also grown steadily over time, supporting scale-up. Profitability on shareholder capital is strong and improving (return on equity ~32% in 2024 vs ~13% in 2023), though that jump also suggests earnings may be more cyclical than the capital base implies.

Cash Flow

Cash generation is the weak spot. Operating cash flow in 2024 (~96M) covered only about a quarter of net income, and free cash flow was modest (~22M) and down sharply versus 2023 (negative growth of ~90%). The company is profitable on the income statement, but cash conversion is low, which can reflect working-capital swings or higher cash outlays. History also shows volatility (negative operating cash flow and deeply negative free cash flow in 2021), reinforcing that cash flows can be inconsistent.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.19B	1.02B	677.78M	466.78M	172.84M
Gross Profit	641.92M	516.69M	197.67M	112.07M	44.80M
EBITDA	680.26M	557.55M	192.23M	147.66M	64.79M
Net Income	539.33M	401.81M	122.67M	67.69M	28.46M
Balance Sheet
Total Assets	2.08B	1.72B	1.44B	1.28B	1.20B
Cash, Cash Equivalents and Short-Term Investments	539.95M	454.15M	254.86M	230.92M	228.43M
Total Debt	146.00K	214.00K	0.00	0.00	0.00
Total Liabilities	235.54M	426.28M	168.32M	286.61M	196.92M
Stockholders Equity	1.80B	1.26B	918.80M	720.87M	730.13M
Cash Flow
Free Cash Flow	204.01M	21.63M	23.47M	12.67M	-146.19M
Operating Cash Flow	647.90M	96.27M	96.27M	163.04M	-8.71M
Investing Cash Flow	-260.48M	-74.18M	-74.18M	-150.37M	-137.48M
Financing Cash Flow	59.88M	5.13M	5.13M	-383.00K	159.19M

Nanshan Aluminium International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
1378	76 Outperform	HK$381.98B	3.12	24.18%	5.10%	15.38%	41.07%
2610	75 Outperform	HK$40.24B	4.40	―	1.46%	―	―
0098	75 Outperform	HK$3.30B	2.87	12.58%	8.68%	10.71%	-22.12%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
2078	48 Neutral	HK$166.72M	-2.77	-0.59%	―	-26.79%	-112.82%

Nanshan Aluminium International Holdings Limited Corporate Events

Nanshan Aluminium Raises HK$1.99 Billion Through Share Placing and Top-Up Subscription

Nanshan Aluminium International Holdings Limited has completed a placing of 31 million existing shares and a top-up subscription of 31 million new shares under its general mandate, with the placing conducted on a best-effort basis to at least six independent investors at HK$64.50 per share. The subscription, which restored the selling shareholder’s stake to its pre-placing level, generated net proceeds of approximately HK$1.99 billion for the company, strengthening its capital position without creating any new substantial shareholder and signaling continued institutional interest in the stock.

The most recent analyst rating on (HK:2610) stock is a Hold with a HK$76.00 price target. To see the full list of analyst forecasts on Nanshan Aluminium International Holdings Limited stock, see the HK:2610 Stock Forecast page.

Nanshan Aluminium Raises Nearly HK$2 Billion via Share Placing and Top-Up Subscription

Nanshan Aluminium International Holdings Limited has entered into a placing and top-up subscription agreement under its general mandate, whereby an existing shareholder (the Vendor) will place 31 million existing shares at HK$64.50 per share and then subscribe for an equivalent number of new shares at the same price. The transaction, representing about 5.26% of current share capital and 5.00% of the enlarged share base, is priced at a discount to the latest and five-day average market prices but at a premium to the ten-day average, and is expected to raise net proceeds of roughly HK$1,986.76 million to fund potential investments in the group’s electrolytic aluminium and related raw materials and ancillary businesses, effectively reinforcing its capital base without requiring separate shareholder approval and supporting its expansion in core operations.

The most recent analyst rating on (HK:2610) stock is a Buy with a HK$77.00 price target. To see the full list of analyst forecasts on Nanshan Aluminium International Holdings Limited stock, see the HK:2610 Stock Forecast page.

Nanshan Aluminium Plans Major Electrolytic Expansion in Indonesia to Deepen Integration and Boost Growth

Nanshan Aluminium International Holdings Limited has outlined a major expansion of its electrolytic aluminium business to strengthen competitiveness, enhance industrial-chain integration and drive sustainable growth. The Group plans to start preparatory work in 2026 for a 250,000-ton-per-year electrolytic aluminium project in Indonesia’s Galang Batang Special Economic Zone, with an estimated investment of about USD436.57 million over two years, subject to local environmental and construction approvals. Over the medium to long term, the company aims to plan an additional 500,000-ton-per-year electrolytic aluminium project and gradually align its electrolytic aluminium capacity with its existing alumina output, creating stronger upstream-downstream synergies. Management cites ample land reserves, advantageous location on major global shipping routes, growing global demand and rising prices for electrolytic aluminium, and its prior experience developing alumina facilities in Indonesia as key factors supporting the strategy, which is expected to diversify revenue, improve profitability, and enhance the Group’s resilience to market risks.

The most recent analyst rating on (HK:2610) stock is a Buy with a HK$68.00 price target. To see the full list of analyst forecasts on Nanshan Aluminium International Holdings Limited stock, see the HK:2610 Stock Forecast page.

Nanshan Aluminium Doubles Alumina Capacity to Four Million Tons in Southeast Asia

Nanshan Aluminium International Holdings Limited has completed the ramp-up of its New Alumina Production Project in Southeast Asia, bringing the second one million tons of annual alumina capacity into operation on 20 December 2025 after the first one million tons started in the third quarter of 2025. With this expansion, the group’s total designed annual alumina production capacity has doubled to four million tons, a move the company expects will enhance long-term profitability, strengthen its cost competitiveness, and further consolidate its standing as one of the largest alumina producers in Southeast Asia, with implications for its market share and pricing power in the regional alumina market.

Nanshan Aluminium Announces Executive Leadership Change

Nanshan Aluminium International Holdings Limited has announced a change in its executive team, with Mr. Wang Shisan resigning as Executive Director and Chief Financial Officer, and Ms. Han Yanhong being appointed to these roles. Ms. Han brings over 20 years of experience in financial accounting and management, having previously held significant positions within the company and its subsidiaries. This leadership change is expected to impact the company’s strategic direction and financial management, potentially influencing its market positioning and stakeholder relations.

Nanshan Aluminium Announces Board Composition and Roles

Nanshan Aluminium International Holdings Limited has announced the composition of its board of directors, detailing the roles and functions of each member. This announcement highlights the leadership structure and committee assignments, which are crucial for stakeholders to understand the company’s governance and strategic direction.

Nanshan Aluminium’s Significant Contribution to Press Metal’s Profits Highlighted in Unaudited Report

Nanshan Aluminium International Holdings Limited announced that its substantial shareholder, Press Metal Aluminium Holdings Berhad, released its unaudited financial results for the nine months ended 30 September 2025. The report indicates that Nanshan Aluminium contributed significantly to Press Metal’s share of profit from associates, accounting for over 90% of the total. However, stakeholders are cautioned that the financial information has not been audited or reviewed by the company’s auditors, and differences in accounting standards may affect comparability.